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DCF valuation

What is Espey Mfg & Electronics Corp worth?

With the base-case assumptions below, a discounted cash flow model on Espey Mfg & Electronics Corp's reported free cash flow gives $29.46 per share. The share price was $65.63 on September 25, 2026, 123% above that value.

Inputs from the filings

Free cash flow, fiscal 2026
$2.6M
Average free cash flow, last 5 years
$6M
Cash
$19.4M
balance sheet of June 30, 2026
Debt
$0
not reported, counted as 0
Diluted shares, fiscal 2026
2,871,414
Revenue growth per year, last 5 years
10.7%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear5.5%4.0%2.0%10.0%$20.86-68%
Base10.5%6.5%2.5%9.0%$29.46-55%
Bull15.5%9.5%3.0%8.0%$46.61-29%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$35.97$37.98$40.43$43.50$47.44
8.0%$31.10$32.40$33.94$35.78$38.04
9.0%$27.55$28.44$29.46$30.66$32.08
10.0%$24.85$25.48$26.20$27.02$27.96
11.0%$22.73$23.19$23.71$24.29$24.96

Where the presets come from

Base: years 1 to 5 grow at Espey Mfg & Electronics Corp's revenue growth rate over the last 5 fiscal years (10.7% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Espey Mfg & Electronics Corp company page